Lower oil prices, cost cutting help Virgin Australia reduce losses

  • Virgin Australia’s losses have narrowed to $37.3 million in the second half of 2014 thanks to lower fuel prices and a cost-cutting initiative.

    Revenue of Australia’s second-largest airline increased by 6% compared to a year earlier.

    John Borghetti, the chief executive, said “good momentum” was building in the carrier’s domestic business. He said the group expected to see “further benefit in the second half of the 2015 financial year”.

    Launched in 1999 as a budget airline, Virgin Australia became an international carrier in 2011.

    Tagged as: Virgin Australia, fuel prices, cost-cutting, airline, John Borghetti, international carrier, domestic airline, business news